Electronics for Imaging, Inc. (NASDAQ:EFII) Q4 2014 Earnings Conference Call - Final Transcript
Jan 29, 2015 • 05:00 pm ET
Industrial Inkjet growth far below where we wanted it. However, as I look at 2015, we have many reasons to be optimistic about the Cretaprint product line. Including the ramp in our color Ink from very small base, and we are seeing strong positive market reaction to our new C4 platform, which will start to ship this quarter.
We are excited about growth resuming in Cretaprint in the second half of the year. So now to the areas of strength in Inkjet. We had a fantastic year in the VUTEk and Jetrion product lines, posting high teens growth for both Q4 and the full-year and we expect this trend to continue into 2015.
Also for the fifth year in a row our UV Ink volume was up 20% or more as we expand our install base. We will continue to invest in markets where we see incremental growth opportunities. Specifically, the entry-level production area, building on the successful introduction of the H1625 in mid-2014, as well as continuing to expand into the high-end beyond our HS 100 entry, including into the corrugated packaging market.
Before I turn to 2015, let's just start on the productivity software segment.
While we were pleased with the 10% full-year growth, the Q4 results for the segment were below our expectations, due mainly to the booking mix and the currency. Overall, we believe the new productivity suite we announced at the annual Connect conference, our continued roll-up of the market, and customers' increasing reliance on software to drive portability, all should allow us to continue double-digit growth on an annual basis in this segment.
Let me now turn to our initial thoughts for 2015. We are coming from a very good 2014, in which we delivered 9% year-over-year revenue growth almost all of which was organic, when we combine this with a very positive feedback from our customers last week at Connect, and the strength of our M&A pipeline, you will hopefully not be surprised to hear that we believe we're set to deliver another good year for EFI on both organic and inorganic form and expect growth in all of our product lines.
This bring me to the topic of our stated 2016 targets. With a solid 2014 behind us and 2015 promising to be another good year for EFI, we all know the missing piece is acquisitions. And while M&A timing and magnitude are difficult to share, we can tell you today that we are looking at many targets than making very good progress with the selected few, since we are excited about.
With that in mind and the eight quarters to go, we are even more confident in hitting our $1 billion loan targets. Giving a progress in operating margins, and the strength in the Fiery segment, I feel comfortable that, as we deliver on our revenue target for 2016. We will do so hitting the higher end of our EPS range, now expecting $2.45 to $2.60 per share.
Finally, I would